9 Ways to Save On Your Mortgage – Part 1

9 Ways to Save On Your Mortgage – Part 1

As the cost of housing continues to rise more people, even those that are wealthy, are looking for relief wherever possible.

Borrowing money to buy a home is expensive but with a few smart strategies you can reduce your monthly mortgage payments and how much you pay for your house over time. In this three-part post we will look at 9 tips to help you save money on your mortgage.

Keep good credit

The key to keeping costs low for any major purchase, such as a house, is by maintaining a good credit record. When lenders see someone with a good credit score they see someone who they can trust to repay the loan. The exact opposite occurs when they see someone with a bad credit rating. Lenders will be more likely to charge you a higher rate or worse still not lend to you at all.

Have a higher deposit

The higher the deposit you are prepared to put down on your new potential home the more you save on your mortgage. Higher loans carry more risks for lenders like banks which is why they usually have a higher interest rate. Putting more money down to lower your home loan could help move you out of the high risk category and save you money in the end.

Shorten your loan

Another easy way for you to save money on the amount of money you pay for your property over time is by shortening the length of your loan where possible. Reducing the duration of your loan from 20 years to 15 or 10 years can lower the interest rate you pay which ultimately lowers the overall amount you have to pay.

Lookout for part 2 of our post where we discuss three more ways to save on your mortgage.

If you’re in the market for a new home in Ghana or Nigeria look no further than Mobus Property. We offer a range of world-class developments in prime locations. Contact us today for more information.